The profitability of the tourist rental is calculated with the formula: PROFITABILITY OF TOURIST RENTAL = [(DAILY RENTAL PRICE x AVERAGE ANNUAL OCCUPANCY) – EXPENSES / ( TOTAL CAPITAL INVESTMENT) x 100 For example, if you rent a property in Fuerteventura for 55 euros per night with an occupancy of 150 days per year, and […]

Tourist rental is the rental of a dwelling for short periods of time. Guests use the housing on a temporary basis and are considered visitors.

The profitability of the usual rent is calculated using the formula: PROFITABILITY OF USUAL RENT= (TOTAL CAPITAL INVESTED-INCOME-EXPENSES) ×100 For example, if you rent a property in Fuerteventura for 900 euros per month (10,800 euros per year), with annual expenses of 1,800 euros and an acquisition cost of 140,000 euros, the return would be 6.42%.

The regular rental consists of renting a dwelling for a long period of time. In this type of rental, tenants use the dwelling as their primary residence for the duration of the lease.